SAN FRANCISCO--(BUSINESS WIRE)--
The law firm of Lieff Cabraser Heimann & Bernstein, LLP announces that class action litigation has been brought on behalf of all persons who purchased or otherwise acquired the securities of Accretive Health, Inc. (“Accretive Health” or the “Company”) (AH) between May 20, 2010 and February 26, 2013, inclusive (the “Class Period”), including purchasers of the Company’s securities pursuant or traceable to the Company’s initial public offering (“IPO”) on or about May 20, 2010 and purchasers of the Company’s securities pursuant or traceable to the Company’s secondary public offering (“SPO”) on or about March 25, 2011.
If you purchased or otherwise acquired Accretive Health securities during the Class Period, including in connection with the Company’s IPO or SPO, you may move the Court for appointment as lead plaintiff by no later than July 19, 2013. A lead plaintiff is a representative party who acts on behalf of other class members in directing the litigation. Your share of any recovery in the action will not be affected by your decision of whether to seek appointment as lead plaintiff. You may retain Lieff Cabraser, or other attorneys, as your counsel in the action.
Accretive Health investors who wish to learn more about the action and how to seek appointment as lead plaintiff should click here or contact Michael J. Miarmi of Lieff Cabraser toll-free at 1-800-541-7358.
The Complaint charges Accretive Health and other defendants with violations of federal securities laws. According to the Complaint, Accretive Health provides services to help healthcare providers improve their operating margins and healthcare quality.
On February 26, 2013, the Company withdrew its financial guidance for fiscal 2012 and disclosed that it was postponing the release of its financial results for the fourth quarter and full year 2012 “because it is evaluating the timing of revenue recognition for its revenue cycle management agreements.” Accretive also warned that, if it determined that it had incorrectly recognized revenue for its revenue cycle management agreements, it “may be required to restate prior-period financial statements.” On this news, shares of the Company’s stock dropped $2.54 per share, or almost 21%, to close on February 27, 2013 at $9.57 per share, on unusually heavy trading volume. Subsequently, Accretive disclosed that it would indeed restate its historical financial statements for 2010, 2011, and 2012.
The Complaint alleges that, throughout the Class Period, defendants failed to disclose material adverse facts about the Company’s financial well-being and prospects. Specifically, defendants failed to disclose or indicate the following: (1) that the Company had improperly recognized revenue under certain managed service contracts; (2) that the Company’s financial statements were not prepared in accordance with Generally Accepted Accounting Principles; (3) that the Company lacked adequate internal and financial controls; and (4) that, as a result of the foregoing, the Company’s financial statements were materially false and misleading at all relevant times.
Lieff Cabraser Heimann & Bernstein, LLP, with offices in San Francisco, New York, and Nashville, is a nationally recognized law firm committed to advancing the rights of investors and promoting corporate responsibility.
Since 2003, the National Law Journal has selected Lieff Cabraser as one of the top plaintiffs’ law firms in the nation. In compiling the list, the National Law Journal examined recent verdicts and settlements in addition to overall track records. Lieff Cabraser is one of only two plaintiffs’ law firms in the United States to receive this honor for the last ten consecutive years.
For more information about Lieff Cabraser and the firm’s representation of investors, please visit http://www.lieffcabraser.com.
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Michael J. Miarmi, 1-800-541-7358